Comments on: What is My Net Worth? http://kclau.com/wealth-management/my-net-worth/ Personal Finance Money Tips Wed, 23 May 2012 00:06:33 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: CJ http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151507 CJ Sun, 21 Feb 2010 16:36:00 +0000 http://kclau.com/?p=1620#comment-151507 I guess I am a UAW by this standard, but that's okay.... I guess I am a UAW by this standard, but that’s okay….

]]> By: Jejaka http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151391 Jejaka Fri, 29 Jan 2010 09:34:29 +0000 http://kclau.com/?p=1620#comment-151391 It seems there are more than one formulas out there on various financial planning parameters. I understand that financial planners have to go through stringent courses and licensing in order to qualify to advise the public. Just like in the medical profession, we would not seek out advice just from books,blogs or pseudo-salesperson dishing out common-sense formulas. Any qualified financial planner CFP,RFP or ChFC care to give their expert opinion? Thanks. It seems there are more than one formulas out there on various financial planning parameters. I understand that financial planners have to go through stringent courses and licensing in order to qualify to advise the public. Just like in the medical profession, we would not seek out advice just from books,blogs or pseudo-salesperson dishing out common-sense formulas. Any qualified financial planner CFP,RFP or ChFC care to give their expert opinion? Thanks.

]]> By: Bujang http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151365 Bujang Tue, 26 Jan 2010 10:20:33 +0000 http://kclau.com/?p=1620#comment-151365 From a book I've read, not sure which one they have told a simple rule about house or other property that u own, if you are servicing the loan and still have balance to pay for it at the same time that house/property is not giving any additional income to your cash flow it is liability.. doesn't matter if it worth more than your outstanding amount, this cannot be considered as an asset. It should be on your liability column. The logic is, if something bad happen and you unable to pay for ur loan or something like that, the house is no longer yours, it's the bank property. Unless the house is fully paid or you are earning something from it, which is higher than your repayment for example of a an investment in Mont Kiara, then it is an asset for you and you may include this in your net profile. Just something to share, maybe KC can explain more on this in his next post. From a book I’ve read, not sure which one they have told a simple rule about house or other property that u own, if you are servicing the loan and still have balance to pay for it at the same time that house/property is not giving any additional income to your cash flow it is liability.. doesn’t matter if it worth more than your outstanding amount, this cannot be considered as an asset. It should be on your liability column. The logic is, if something bad happen and you unable to pay for ur loan or something like that, the house is no longer yours, it’s the bank property.

Unless the house is fully paid or you are earning something from it, which is higher than your repayment for example of a an investment in Mont Kiara, then it is an asset for you and you may include this in your net profile.

Just something to share, maybe KC can explain more on this in his next post.

]]> By: headhunter http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151364 headhunter Tue, 26 Jan 2010 09:55:00 +0000 http://kclau.com/?p=1620#comment-151364 Talking about nett worth i.e. total assets (including EPF, savings, stocks, cars, houses) - total liabilities (including car loans or house loans, etc.)...what shall the value/figure of nett worth be that constitutes a millioanaire? Can a person who owns and is staying in a fully paid house that is worth say RM1.0 million (current value) be considered a miilionaire or must that person have RM1.0 million cash in FD somewhere? Anyone care to suggest? Thanks Talking about nett worth i.e. total assets (including EPF, savings, stocks, cars, houses) – total liabilities (including car loans or house loans, etc.)…what shall the value/figure of nett worth be that constitutes a millioanaire? Can a person who owns and is staying in a fully paid house that is worth say RM1.0 million (current value) be considered a miilionaire or must that person have RM1.0 million cash in FD somewhere? Anyone care to suggest? Thanks

]]> By: KCLau http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151359 KCLau Mon, 25 Jan 2010 07:10:11 +0000 http://kclau.com/?p=1620#comment-151359 In accounting terms, house and cars should be included in the net worth calculation. It is just that these items don't contribute income to your cash flow. In accounting terms, house and cars should be included in the net worth calculation.
It is just that these items don’t contribute income to your cash flow.

]]> By: Lai Seng Choy http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151312 Lai Seng Choy Fri, 22 Jan 2010 00:46:42 +0000 http://kclau.com/?p=1620#comment-151312 Well, it sounds weird if we do not include our house and car(s) into the picture. Our total liabilities inclusive of the loan of these items. If we exclude these "assets", what shoud we do for respective "liabilities"? Keep them or exclude them? As of my opinion, they should be included in and to be offset by their liabilities as part of the networth. Also, under the worse scenario, they still can be sold based on their value. They are carrying value, aren't they? Well, it sounds weird if we do not include our house and car(s) into the picture. Our total liabilities inclusive of the loan of these items. If we exclude these “assets”, what shoud we do for respective “liabilities”? Keep them or exclude them?

As of my opinion, they should be included in and to be offset by their liabilities as part of the networth. Also, under the worse scenario, they still can be sold based on their value. They are carrying value, aren’t they?

]]> By: RockYourVote.net http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151305 RockYourVote.net Thu, 21 Jan 2010 11:22:35 +0000 http://kclau.com/?p=1620#comment-151305 <strong>What is My Net Worth?...</strong> About calculating your net worth... What is My Net Worth?…

About calculating your net worth…

]]> By: 21st century Net Worth http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151298 21st century Net Worth Wed, 20 Jan 2010 09:13:41 +0000 http://kclau.com/?p=1620#comment-151298 my net worth is 39 years of food, 62 years of accommodation and 6 legacies. Not for sale and doesn't worth a dime. my net worth is 39 years of food, 62 years of accommodation and 6 legacies. Not for sale and doesn’t worth a dime.

]]> By: Sayeed http://kclau.com/wealth-management/my-net-worth/comment-page-1/#comment-151297 Sayeed Wed, 20 Jan 2010 08:29:44 +0000 http://kclau.com/?p=1620#comment-151297 There are amazing ways of calculating net worth value...the net worth remains the same formula for me as total assets + savings + stocks + bonds - total liabilities, I even look at monthly income statement net worth....ie, taking total of (income - expenses)/ income, and to keep healthy month to month, my target is 25%. There are months that i hit 25% and miss, used to be terribly difficult, but lately have been quite impressive. Why do I do this for ? Well actually, when we look at our Balance Sheet ie: assets and liabilities, there are some liabilities that is for us to knock off. This helps to improve overall Net Worth (asset - liability) ratio in long term. So the rest of above 25% goes into this budget. Works well for us.... There are amazing ways of calculating net worth value…the net worth remains the same formula for me as total assets + savings + stocks + bonds – total liabilities, I even look at monthly income statement net worth….ie, taking total of (income – expenses)/ income, and to keep healthy month to month, my target is 25%. There are months that i hit 25% and miss, used to be terribly difficult, but lately have been quite impressive.
Why do I do this for ?
Well actually, when we look at our Balance Sheet ie: assets and liabilities, there are some liabilities that is for us to knock off. This helps to improve overall Net Worth (asset – liability) ratio in long term. So the rest of above 25% goes into this budget.
Works well for us….

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